Federal Homelessness Funding Formula Update
Government Affairs September Update
Wednesday, August 31, 2016
by: Tom Magnussen, Paragon Services Janitorial

Section: Committee Announcements

The U.S. Department of Housing and Urban Development (HUD) has opened a public comment period for the Continuum of Care (CoC) Funding Formula to assist cities in addressing homelessness issues.
HUD’s current formula has been criticized locally and by others because it was felt the formula was not an appropriate barometer of need because of inclusion of determining factors such as age of housing stock and population growth lag as opposed to unhoused population numbers. The current formula essentially short-changed regions like San Diego despite having one of the largest homeless populations in the country.
As a part of their program notice, HUD included four different proposals to update its CoC. All four formulas would likely have a positive impact on the minimum annual funding that San Diego stands to receive in the COC competition, however the San Diego Housing Commission (SDHC), in collaboration with other stakeholders, developed a fifth proposed formula, Formula E, that is based on the San Diego region’s experience with homelessness. Formula E also impacts the CoCs across the nation with the largest populations of homeless individuals.
Last week, the San Diego Regional Continuum of Care Council (RCCC) voted to include SDHC’s Formula E proposal in the final recommendation to HUD with the caveat that if HUD only selects one of their own four proposals, they recommend Formula D and the inclusion of a 5-year clause to revisit the formula to ensure it does not become outdated again.
At the recommendation of the Government Affairs Committee the BOMA Board approved for staff to draft a comment letter in support of the funding formula that, year over year, will consistently provide the City of San Diego maximum funding as allowed by the new PPRN. Staff will coordinate with the Housing Commission, Regional Continuum of Care Council to ensure that BOMA’s letter is aligned with their recommendations to HUD along with a coalition of other interested stakeholders including the Downtown San Diego Partnership, NAIOP, and the San Diego Regional Chamber of Commerce.